Hun Sen Urges Calm as Coke Boycott Sparks Economic Fears

[geovalin]

 

Cambodia’s Senate President Hun Sen has called for restraint amid growing public anger over Coca-Cola’s termination of a contract with rapper VannDa, warning that a boycott could backfire economically and diplomatically.

 

The American soft drink giant, whose Southeast Asian operations are managed from Thailand, dropped VannDa after his viral song condemned the capture of Cambodian soldiers during recent border tensions. The move triggered a wave of nationalist backlash, with Thai consumers boycotting Coke and Cambodian firms launching a rival “Cambodia Cola”.

 

But Hun Sen urged citizens to think beyond emotion. “If the firm withdraws from Cambodia, we will lose revenue while our enemy [Thailand] will be the beneficiary,” he said, stressing that Coke’s local factory in Phnom Penh provides jobs and tax income. He added that even Thai companies operating in Cambodia should be safeguarded for their economic contributions.

 

The Senate President’s remarks reflect concern over escalating cross-border consumer activism, which analysts say could destabilise trade and investment. Anthony Galliano of AmCham Cambodia warned that boycotts “rarely achieve their intended goals” and risk harming thousands of Cambodian workers.

 

The Phnom Penh bottling plant, operated by Cambodia Beverage Company under Swire Coca-Cola, employs hundreds and supports a wider supply chain. Economic researcher Hong Vanak noted that while Coke is American in origin, its regional franchise structure gives Thailand influence over Cambodian distribution.

 

Meanwhile, Cambodia Cola—backed by Chip Mong Group and Khmer Beverages—has seized the moment, branding itself as a patriotic alternative. Its slogan, “Fizz Up the Flavour of Joy,” has gained traction online, though its long-term viability remains uncertain.

 

Hun Sen’s intervention signals a strategic shift: prioritising national interests over symbolic protest. “Vannda must endure the termination for the nation’s interests,” he said, framing the rapper’s dismissal as a sacrifice for economic stability.

 

As tensions simmer, Cambodia faces a delicate balancing act—between asserting sovereignty and preserving the livelihoods tied to global brands.

 

 

-2025-08-19